Money Talks News: Investing in People - Upstart

"This is the next big product from Roizo. What we are is an apparel technology company." "It has a non-slip pad on the outside of the fabric as well as on the inside." "It's the first time anyone's ever placed a non-slip pad on the inside of a shirt."

Like many bright, budding entrepreneurs coming out of college, Stephen Jass has ideas, including this one: a non-slip shirt for working out. But like many entrepreneurs, he's long on ideas but short on cash.

Where did he find the money to start this business?One place was Upstart. Founded by a former Google employee, Upstart lets you invest not in companies, but people.

You give them money today in exchange for a share of their future income, whatever they do.

Upstart uses a model to determine how much people like Stephen can raise, and what kind of return you're going to get if you agree to give them some money. Stephen, for example, doesn't have to give the shirt off his back.

The most he can raise if $47,000. The most he'll have to repay is about 4 times that.You can scroll through their list of candidates and decide based on their profiles who you'd like to back. Minimum investment? Just $100.

Services like upstart can be winners for both those doing the funding and those getting the cash. Investors can get a return on their investment. People like Stephen can leave college and hit the ground running.

"I would absolutely recommend upstart. I always say the best advice is don't put all of your eggs in one basket. Upstart is just another means of raising that capital to make your dreams come true."

Before businesses like Upstart, kick starter and other crowd funding sites came along, people like Stephen could only dream of building a business. Now they can actually do it. That's not only really good for them, it's really good for us.

Want more information? Just go to and do a search for "Upstart."

For Money Talks News, I'm Stacy Johnson.